Target also leads the pack when it comes to paid search spending, a new report finds.
Those personalized suggestions account for about 7% of the site’s overall sales.
Urban Outfitters Inc. designed its e-commerce site to foster the discovery of new products and styles, just as it aims to do in its bricks-and-mortar stores, says Holly Devine, the retailer’s director of e-commerce.
“We want to translate our rich store experience into a rich online experience,” she says.
The retailer initially attempted to help create that experience by manually entering up-sell and cross-sell product recommendations. However, the process was tedious and inefficient because the retailer adds about 250 new products each week and the average lifespan of a product on its site is less than three months.
Within the first 90 days of implementing Baynote’s offering, sales linked to recommendations on the site increased nearly 700%. “Within that first 90 days the product basically paid for itself with the incremental revenue we got,” says Devine.
The spike occurred because the site’s relevant suggestions compelled shoppers to click, she says. 27% of the site’s visitors click on a recommendation. About 7% of the site’s sales are linked to recommendations, up from about 1% when Urban Outfitters manually entered recommendations.